Liverpool had the chance to sign Marcos Llorente from Real Madrid this summer.
The youngster, who played 12 times in La Liga for the Spanish giants in the past season, moved to city rivals Atletico Madrid.
The player's uncle, Julio Llorente, claims that Liverpool could have signed the player, but they had other transfer priorities.
Liverpool are said to be focusing on deepening their squad this summer, with any big money purchase seemingly unlikely.
"I contacted several clubs to let them know what had happened, the conversation that Zidane and Marcos had," Julio Llorente told Cadena SER.
"One of them was Liverpool, but Marcos' position was covered and it wasn't a priority.
"But Atlético are those who perhaps took the strongest step and convinced us.
"I think we're right. I hope it's like that, I hope Marcos does very well."